Government quits on Select Committee unanimous decision.
News:
Select Committe Hearing (unanimous) overturned by Government.
Govt will not sell
Tuapeka
dam land
Wellington: The Government has rejected a select com-mittee's recommendations that land at Beaumont, Central Otago, intended for a lower Clutha River dam, be put up for sale.
The transport and environment select committee had@ made several recommendations in relation to a petition from a group of South Island landowners who sold their properties for the intended Tuapeka dam but wanted it returned as part of the sale of the stateowned enter-prise Contact Energy, which was floated last week.
The committee recommended that the Government require Contact Energy to divest the land in the Beaumont-Millers Flat area within 10 years, and that should be a con-dition of the sale of Contact.
But the Government rejected the recommendations in a response tabled in Parliament yesterday, and said it did not interfere in operational decisions of state owned enterprises.
"The Government has now disposed of its shares in the company. Decisions relating to the future ownership of the Beaumont land are matters for the company and its new owners.
"The Government understands the uncertainty that deferral of the Tuapeka dam may have on the surrounding community. Contact is taking steps to recognise those con-cerns by developing long-term leases in the area, and has implemented a maintenance programme around Beaumont." the Government said in its report.
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